INCOME TAX (EXEMPTION) (NO. 12) ORDER 2002 [P.U.(A) 60]

INCOME TAX (EXEMPTION) (NO. 12) ORDER 2002 [P.U.(A) 60]

 

IN exercise of the powers conferred by paragraph 127(3)(b) of the Income Tax Act 1967 [Act 53], the Minister makes the following order:

 

Citation and commencement

 

1.   (1)  This order may be cited as the Income Tax (Exemption) (No.12) Order 2002.

 

      (2)  This Order shall have effect from the year of assessment 2002.

 

 

Interpretation

 

2.   In this Order, unless the context otherwise requires —

 

“value of increased exports ” means the difference of free on board value of goods and commodities exported in a basis period and that of the immediately preceding basis period;

 

“export sales ” means sales derived from exports of local and imported goods and commodities, but does not include trading commissions and profits derived from trading at the Commodity Exchange and sales to Free Industrial Zone and Licensed Manufacturing Warehouses;

 

“Malaysia External Trade Development Corporation ” means the corporation established under section 3 of the Malaysia External Trade Development Corporation Act 1992 [Act 490];

 

“Malaysian International Trading Company ” means a company approved by the Malaysia External Trade Development Corporation.

 

 

Exemption

 

3.   (1)  The Minister exempts a Malaysian International Trading Company from the payment of income tax in respect of income derived from export sales in the basis period for a year of assessment,in the amount and manner prescribed in paragraph 4 subject to the conditions stipulated in paragraph 6.

 

(2)  The exemption under subparagraph (1) shall be granted to the Malaysian International Trading Company for five consecutive years of assessment beginning from the year of assessment in which that company first qualified for the exemption.

 

 

Amount of Income to be exempt

 

4.   (1)  The amount of income referred to in paragraph 3 shall be equal to 10 per cent of the value of increased exports.

 

(2)  Where an amount of income equivalent to 10 per cent of the value of increased exports has been determined for a year of assessment,so much of the statutory income of the business of the Malaysian International Trading Company for that year of assessment as is equal to that value of increased exports (or to the aggregate amount of any such value of increased export, as the case may be) but not exceeding 70 per cent of the statutory income shall be exempted from tax.

 

 

Insufficiency of income

 

5.     Where by reason of the restriction of 70 per cent of the statutory income or of an insufficiency or absence of statutory income from a business of the Malaysian International Trading Company for the basis period for a year of assessment,effect cannot be given or cannot be given in full to the amount of the determined value of increased exports to which the Malaysian International Trading Company is entitled under paragraph 4 for that year of assessment, then so much of that amount or the aggregate amount as cannot be given for that year shall be given to the Malaysian International Trading Company for the first subsequent year of assessment for the basis period for which there is statutory income from that business, and for subsequent years of assessment until the Malaysian International Trading Company has received the whole of the amount or the aggregate amount to which it is so entitled.

 

 

Conditions for exemption

 

6.   To qualify for the exemption under paragraph 3,the Malaysian International Trading Company claiming the exemption shall obtain a letter from the Malaysia External Trade Development Corporation certifying that the following conditions have been fulfilled:

 

(a)     that the company is incorporated in Malaysia and at least 60 per cent of the issued share capital of the company is Malaysian owned;

 

(b)     that the company has achieved annual sales of more than RM10 million;

 

(c)     that not more than 20 per cent of the Company’s annual sales is derived from the trading of commodities; and

 

(d)     that the company uses local services for the purposes of banking, finance and insurance and uses local ports and airports.

 

 

Application of paragraphs 5 and 6 of Schedule 7A

 

7.   Paragraphs 5 and 6 of Schedule 7A to the Act shall apply mutatis mutandis to the amount of income exempted under paragraph 3.

 

Made 24 January 2002.

[Perb. 0.3865/73 (SJ51); LHDN.01/35/(S)/42/51/231-2; PN(PU²) 80/XXXI]

 

On behalf and in the name of the Minister of Finance,

CHAN KONG CHOY

Deputy Minister of Finance

 

[To be laid before the Dewan Rakyat pursuant to subsection 127(4) of the Income Tax Act 1967]

INCOME TAX (EXEMPTION) (NO. 9) ORDER 2002 [P. U. (A) 57]

INCOME TAX (EXEMPTION) (NO. 9) ORDER 2002 [P. U. (A) 57]

 

IN exercise of the powers conferred by paragraph 127(3)(b) of the Income Tax Act 1967 [Act 53], the Minister makes the following order:

 

Citation and commencement

 

1.   (1)  This order may be cited as the Income Tax (Exemption) (No.9) Order 2002.

 

(2)  This Order shall have effect from the year of assessment 2002.

 

 

Interpretation

 

2.   For the purpose of this Order —

 

      “value of increased exports ” means the difference of the value of the qualifying services exported in the basis period and that of the immediately preceding basis period;

     

      “foreign client ” means a company, a partnership, an organization or a cooperative society which is incorporated or registered outside Malaysia or an individual who is a non-Malaysian citizen and does not hold a Malaysian work permit or an individual who is a non-resident Malaysian citizen living abroad;

 

      “qualifying services ” means services specified in the Schedule which are provided to foreign clients, from Malaysia, and in relation to the provisions of private health care and private education, the services to be provided to foreign clients are to be provided either in Malaysia, or provided from Malaysia.

 

Exemption

 

3.   The Minister exempts a person resident in Malaysia from the payment of income tax in respect of income derived from the export of qualifying services specified in the Schedule in the basis period for a year of assessment, in an amount and manner prescribed in paragraph 4.

 

 

Amount of income to be exempt

 

4.   (1)  The amount of income referred to in paragraph 3 shall be equal to 50 per cent of the value of increased exports.

 

      (2)  Where an amount of income equivalent to 50 per cent of the value of increased exports has been determined for a year of assessment, so much of the statutory income of the business of that person for that year of assessment as is equal to that value of increased exports (or to the aggregate amount of any such value of increased export, as the case may be) but not exceeding 70 per cent of the statutory income shall be exempted from tax.

 

 

Insufficiency of income

 

5.   Where by reason of the restriction of 70 per cent of the statutory income or of an insufficiency or absence of statutory income from a business of the person for the basis period for a year of assessment,effect cannot be given or cannot be given in full to the amount of the determined value of increased exports to which the person is entitled under paragraph 4 for that year of assessment, then so much of that amount or the aggregate amount as cannot be given for that year shall be given to the person for the first subsequent year of assessment for the basis period for which there is statutory income from that business, and for subsequent years of assessment until the person has received the whole of that amount or the aggregate amount to which the person is so entitled.

 

 

Non-application

 

6.   This Order shall not apply to a person —

 

(a)  for the period during which the person has been granted any incentives (except for deductions for promotion of exports) under the Promotion of Investments Act 1986 [Act 327];

 

(b)  for the period during which the person has been granted investment allowance under Schedule 7B of the Act; and

 

(c)  for the period during which the person has been granted an exemption under paragraph 127(3)(b) of the Act in respect of an approved service project.

 

 

Application of paragraphs 5 and 6 of Schedule 7A

 

7.   Paragraphs 5 and 6 of Schedule 7A to the Act shall apply mutatis mutandis to the amount of income exempt under paragraph 4.

 

SCHEDULE

 

Qualifying services

 

1.         Legal.

2.         Accounting.

3.         Architecture.

4.         Marketing.

5.         Business consultancy.

6.         Office services.

7.         Construction management.

8.         Building management.

9.         Plantation management.

10.       Private health care.

11.       Private education.

12.       Publishing services.

13.       Information technology and communication (ICT) services.

14.       Engineering services.     

15.       Printing services         

16.       Local franchise services                     

 

Made 24 January 2002.

[Perb. 0.3865/73 (SJ9); LHDN. 01/35/(S)/42/51/231-19; PN(PU² ) 80/XXXI]

 

On behalf and in the name of the Minister of Finance,

 

CHAN KONG CHOY

Deputy Minister of Finance

 

[To be laid before the Dewan Rakyat pursuant to subsection 127(4) of the Income Tax Act 1967 ]

STAMP DUTY (EXEMPTION) (No. 12) ORDER 2001

STAMP DUTY (EXEMPTION) (No. 12) ORDER 2001

P.U. (A) 226 [Warta No. 15 - 30 hb Julai 2001]

 

IN exercise of the powers conferred by subsection 80(1) of the Stamp Act 1949 [Act 378], the Minister makes the following order:

 

Citation and commencement

 

1. (1) This order may be cited as the Stamp Duty (Exemption) (No. 12) Order 2001.

 

(2) This Order shall be deemed to have come into operation on 1 January 2001.

 

Interpretation

 

2. For the purposes of this Order-

 

"assets" means such assets which are the subject of a securitization transaction and which satisfy all criteria as stipulated by the Securities Commission on the offering of asset-backed debt securities;

 

"credit enhancement" means any arrangement in form or substance which requires the credit enhancement provider to compensate a special purpose vehicle for a pre-determined amount of loss incurred as a means of insuring against the credit risks of the assets;

 

"special purpose vehicle" means any entity which issues asset-backed debt securities and which satisfies all criteria as stipulated by the Securities Commission on the offering of asset-backed debt securities.

 

"securitization transaction" means an arrangement which involves the transfer of assets or risks to a third party where such transfer is funded by the issuance of debt securities to investors and approved by the Securities Commission pursuant to section 32 of the Securities Commission Act 1993 [Act 498];

 

Exemption

 

3. The instruments specified in the Schedule executed on or after 1 January 2001 for the purpose of a securitization transaction are exempted from stamp duty.

 

Revocation

 

4. The Stamp Duty (Exemption) (No. 6) Order 2000 [P.U. (A) 46/2000] published in the Gazette on 17 February 2000 is revoked.

 

 

SCHEDULE

 

 

(1) Any instrument that operates to transfer, convey, assign, vest, effect or complete a disposition of any legal or equitable right or interest in or title to any asset or change or mortgage which in this Schedule is referred to as "the rights" to or in favour of a special purpose vehicle.

 

(2) Any instrument that operates to create or effect any charge, assignment, trust deed or letter of guarantee or any other instrument or document for the purposes of credit enhancement.

 

(3) Any instrument that operates to transfer, convey, assign, vest, effect or complete a disposition of any of the rights in connection with the repurchase of the rights from a special purpose vehicle to or in favour of the person from whom the rights were acquired.

 

(4) Any other instrument or document in which a special purpose vehicle is a party to.

 

Made 24 July 2001.

[Perb. CR (8.09) 248/40/7-299 Vol. 3(4); LHDN. 01/34/42/68-180-1 (20/2000);

PN(PU2)159/XXIV]

 

On behalf and in the name of the Minister of Finance,

 

CHAN KONG CHOY

Deputy Minister of Finance.

INCOME TAX (EXEMPTION) (NO. 5) ORDER 2001

INCOME TAX (EXEMPTION) (NO. 5) ORDER 2001

 

P.U. (A) 220

 

 

IN exercise of the powers conferred by paragraph 127(3)(b) of the Income Tax Act 1967 [Act 53], the Minister makes the following order:

 

Citation and commencement

 

1. (1) This order may be cited as the Income Tax (Exemption) (No. 5) Order 2001.

 

   (2) This Order shall be deemed to have effect from the year of assessment 1999 and subsequent years of assessment.

 

Exemption

 

2. (1) The Minister exempts all persons from the payment of income tax in respect of interest received in respect of bonds and securities issued by Pengurusan Danaharta Nasional Berhad within and outside Malaysia from the year of assessment 1999 and subsequent years of assessment.

 

(2) Sections 109 and 109C of the Act shall not apply to income exempted under this Order.

 

Made 10 July 2001.

[Perb. (8.20) 116/1-138(Sj.18) (SK.1)(30); LHDN. 01/35/(S)/42/51/231-3;

PN(PU 2 )80/XXX]

 

                                    On behalf and in the name of the Minister of Finance,

 

CHAN KONG CHOY

Deputy Minister of Finance

 

[To be laid before the Dewan Rakyat pursuant to subsection 127(4) of the Income Tax Act 1967]

INCOME TAX (EXEMPTION) (NO.12) ORDER 1996

INCOME TAX (EXEMPTION) (NO.12) ORDER 1996

 

PU (A) 64

 

 

IN exercise of the powers conferred by paragraph 127(3)(b) of the Income Tax Act 1967, the Minister makes the following order :

 

PARAGRAPH 1         CITATION AND COMMENCEMENT

 

1          This order may be cited as the Income Tax (Exemption) (No. 12) Order 1996 and shall have effect for the year of assessment 1997 and subsequent years of assessment.

 

PARAGRAPH 2         EXEMPTION FROM TAX ON SAVINGS AND FIXED DEPOSIT ACCOUNTS, ETC.

 

2    The Minister exempts from tax

 

(a)        interest which accrues to an individual for the basis year for a year of assessment in respect of money deposited in any savings account with the Bank Simpanan Nasional;

 

(b)        interest or bonus which accrues to an individual for the basis year for a year of assessment in respect of money deposited with the Bank Simpanan Nasional under the “Save As You Earn” scheme;

 

(c)        interest up to an amount equivalent to interest accruing on a deposit of RM100,000.00 (One Hundred Thousand Ringgit) for a calendar year which accrues to an individual for the basis year for a year of assessment in respect of money deposited in any savings account with a registered co-operative society, Bank Pertanian Malaysia, Malaysia Building Society Berhad, Borneo Housing Mortagage Finance Berhad or with any other institution that may be approved by the Minister;

 

(d)        bonus which accrues to an individual for the basis year for a year of assessment in respect of money deposited in any savings account with Lembaga Tabung Haji;

 

(e)        interest up to an amount equivalent to interest accruing on a deposit of RM100,000.00 (One Hundred Thousand Ringgit) for a calendar year which accrues to an individual for the basis year for a year of assessment in respect of money deposited in any savings account with a bank or finance company licensed under the Banking and Financial Institutions Act 1989;

 

(f)        interest up to an amount equivalent to interest accruing on a deposit of RM100,000.00 (One Hundred Thousand Ringgit) which accrues to an individual for the basis year for a year of assessment in respect of money deposited in any fixed deposit account (including negotiable certificates of deposits) for a period not exceeding twelve months with :

 

(i)         Bank Pertanian Malaysia;

(ii)        Bank Kerjasama Rakyat Malaysia Berhad;

(iii)       Bank Simpanan Nasional;

(iv)       Borneo Housing Mortgage Finance Berhad;

(v)        Malaysia Building Society Berhad; or

(vi)       a bank or finance company licensed under the Banking and Financial Institutions Act 1989; and

 

(g)        interest which accrues to an individual for the basis year for a year of assessment in respect of money deposited in any fixed deposit account (including negotiable certificates of deposits) for a period of twelve months or more with :

 

(i)         Bank Pertanian Malaysia;

(ii)        Bank Kerjasama Rakyat Malaysia Berhad;

(iii)       Bank Simpanan Nasional;

(iv)       Borneo Housing Mortgage Finance Berhad;

(v)        Malaysia Building Society Berhad; or

(vi)       A bank or finance company licensed under the Banking and Financial Institutions Act 1989.

 

PARAGRAPH 3         REVOVATION

 

3.         The Income Tax (Exemption) (No.3) Order 1989 is revoked with effect from 1 January 1996.

 

 

 

Made 22 January 1996